New Delhi, Sept. 16 -- A fierce political tug-of-war has erupted over the revised Unified Payments Interface (UPI) Merchant Discount Rate (MDR) framework, drawing a sharp contrast between the ruling dispensation and the Opposition.

While the Central government maintains that digital payments remain entirely free for citizens, warning that imposing merchant costs onto consumers is illegal and a criminal offence, the Congress-led Opposition has termed the move a "betrayal" and a "UPI tax," alleging that the Modi administration has capitulated to American pressure to benefit foreign payment corporations.

Reassuring consumers amid raging debates over digital transaction charges, Union Minister for Communications Jyotiraditya M Scindia on We...